On the global outsourcing ecosystem a new report has claimed that Indian IT-services companies are losing their grip. From India, there were only 10 outsourcers that is made it into this years list of the 50 best managed global outsourcing vendors for the 2008 Black Book of outsourcing., In the year 2004, Indian outsourcers accounted for the half of the list. In May it ended the nearly 25,000 outsourcing users participated in the Brown and Wilson Group survey. The best Indian performers on the list were Wipro, Satyam and Genpact which were ranked sixth, seventh and eight respectively. The five of the top 10 vendors on the list were Indian outsourcing services providers in 2006.
In 2007, this years top honors went to HP which jumped up from eight spot. The HP also topped the list of the top 10 vendors for financial and accounting outsourcing. Rounding up the rest of the global top five were other US-headquartered companies, Perot Systems, CSC, Unisys and EDS. The report indicated that the survey closed the day before HP announced its acquisition of EDS. With Genpact, Satyam Business Process Outsourcing, Wipro and HCL Business Process Outsourcing, Indian domininance prevailed in the realm of business-process outsourcing or Business Process Outsourcing making up the top four vendors. The Satyam also was placed fourth on the list of the top p10 knowledge-process outsourcing or KPO vendors.
The Satyam Business Process Outsourcing chief executive Venkatesh Roddam noted the results as an affirmation of the company’s strategic perspective. The categories in which they have been ranked this year, the Business Process Outsourcing and Knowledge Process Outsourcing are they key growth areas that they have been focusing on and basing their specialty Business Process Outsourcing positioning on. From the 50 best vendors list as surprising, the report singled out Infosys fall. At a number 59 this year it is the first five years that Infosys has failed to enter the top 50, it was ranked number 10 last year. The company’s displacement was accompanied by rising accounts of the client discontentment, Douglas Brown and Scott Wilson the authors of the report noted it.
Over a dozen major customers cited the fact that Infosys has not melded their consulting and service delivery well. The US clients cite a lack of American front office support with an imbalance of too much delivered from offshore. The Indian players remain a major force in the outsourcing industry and outsourcers in China, despite of the slide on the list it is still nowhere close to replacing them. The Chinese outsourcing companies have failed to make inroads into the top 50 for a second consecutive year. In the areas of partnership, business stability and distribution channels, brown and wilson pointed out that despite of a highly skilled workforce and solid infrastructure China is still risky. The revenues are increasing for the China’s technology providers but it is hardly touch a fraction of the huge global offshoring market share. The majority of those outsourcing decision makers will not rank China as their first choice for upcoming initiatives anytime soon based on the recent client satisfaction outcomes. They were currently agree that most of the barriers exist for China to take India’s place as the offshoring destination of choice.
REFERENCE:
http://www.zdnet.co.uk/news/it-strategy/2008/07/03/report-india-losing-grip-on-outsourcing-ecosystem-39442161/
